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Evidence of the Determinants of Foreign Direct Investment: The Case of Three European Regions

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  • Lionel Artige
  • Rosella Nicolini
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    Abstract

    This study aims at analyzing the determinants of FDI (foreign direct investment) inflows for a group of European regions. The originality of this approach lies in the use of disaggregated regional data. First, we develop a qualitative description of our database and discuss the importance of the macroeconomic determinants in attracting FDI. Then, we provide an econometric exercise to identify the potential determinants of FDI. In spite of choosing regions presenting economic similarities, we show that regional FDI inflows rely on a combination of factors that differs from one region to another.

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    File URL: http://research.barcelonagse.eu/tmp/working_papers/251.pdf
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    Bibliographic Info

    Paper provided by Barcelona Graduate School of Economics in its series Working Papers with number 251.

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    Date of creation: Nov 2005
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    Handle: RePEc:bge:wpaper:251

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    Related research

    Keywords: Foreign Direct Investment; Productivity; Regions;

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    1. Irving B. Kravis & Robert E. Lipsey, 1982. "The Location of Overseas Production and Production for Export by U.S. Multinational Firms," NBER Working Papers 0482, National Bureau of Economic Research, Inc.
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    Cited by:
    1. Daniele, Vittorio & Marani, Ugo, 2011. "Organized crime, the quality of local institutions and FDI in Italy: A panel data analysis," European Journal of Political Economy, Elsevier, vol. 27(1), pages 132-142, March.

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